It has also piloted the production of a hybrid high-yielding palm oil variety in areas previously thought too cool for commercial cultivation, in collaboration with the UN Food and Agriculture Organization (FAO).
[14] These developments led to the firing of 52 top managers, including the CEO, CFO, Commercial Director and Company Secretary.
The bidder, Tumaz and Tumaz Enterprises, which had placed the highest bid of Ksh27.6 billion against Ksh11.5 billion for Sarrai Group, alleged fraud, mistakes and illegalities in the bidding process, which was headed by Kenya Commercial Bank (KCB)'s receivership manager P V Rao.
Justice Kenneth Ndung'u of Milimani High Court in Nairobi suspended the lease award and ordered KCB's receiver manager and Sarrai Group not to interfere with Mumias Sugar until the case was heard and determined.
[18][19][20][21] In January 2022, other bidders including West Kenya Sugar Company were enjoined in new cases filed against Sarrai Group and P V Rao.
West Kenya Sugar company told the court that it was the highest bidder, and yet the lease was awarded at a cost of Ksh5.8 billion to Sarrai Group.
The Nairobi High Court judge Okwany issued a second lease suspension until 14 March 2022, when the case would be heard and determined.
The farmers had sued Sarrai Group, P V Rao, the attorney general, competition authority, Kakamega County government among others.
[22][23][24] In early February 2022 another round of lawsuits were filed by creditors including the law firm of Kimeto, which is owed Ksh76 million.
They argued that the previous tendering process had virtually collapsed after a barrage of lawsuits were filed,and effectively stopped the operations of Mumias Sugar.